Remember WeWork? Adam Neumann’s latest project, Flowcarbon, is proving to be just as controversial.
Flowcarbon is a blockchain-based platform for carbon credits co-founded by former WeWork CEO Adam Neumann. Currently, it is reportedly refunding investors after its much-anticipated “Goddess Nature Token” (GNT) failed to launch.
Here’s the latest crypto news: Despite the hype, the GNT project never came to fruition, leaving investors, including prominent backers like Andreessen Horowitz, waiting for over a year.
According to a Forbes report from September 11, some investors began receiving refunds “in recent weeks.” Flowcarbon attributed the delays to market conditions and resistance from carbon registries, which they cited as the primary reasons for returning funds.
Interestingly, Flowcarbon hasn’t made any public announcements about the refunds. However, a company spokesperson confirmed to Forbes that:
It was well known that since last year we have been offering refunds to retail GNT buyers due to the industry delays, with standard and customary terms, as we continue to grow Flowcarbon as a leader in carbon finance.”
While the GNT token launch may have stalled, Flowcarbon remains active in the climate space. The GNT was designed to be backed 1:1 with carbon credits—certificates representing one metric ton of carbon dioxide either removed or prevented from entering the atmosphere.
According to crypto trading news, large corporations often purchase these credits to offset their carbon emissions. Tokenizing them would have allowed broader participation in the carbon market, but significant progress in this area has remained elusive.
Part of the refund process reportedly involved requiring GNT purchasers to sign a waiver releasing Flowcarbon and its affiliates from claims, alongside agreeing to certain confidentiality terms.
Flowcarbon attracted considerable attention from high-profile venture capitalists. In May 2022, the company secured $70 million in Series A funding, with leading contributions from Andreessen Horowitz, General Catalyst, and Samsung NEXT, according to Crunchbase. Of that sum, $38 million was raised through the sale of Flowcarbon’s token, though it’s unclear how much of this involved retail investors.
The energy and environment-focused token market, where Flowcarbon aimed to compete, currently holds a combined market cap of $186 million, according to CoinGecko.
Two major players, Powerledger’s POWR and Energy Web’s EWT tokens, dominate the space, accounting for 94% of the total market cap at $176 million.
